Wyo. Code R. 057-0001-8
Effective Date: 12/14/1993 to 06/04/2001
Rule Type: Superceded Rules & Regulations
Reference Number: 057.0001.8.12141993
Section 1. Authority. The Wyoming Community College Commission is required by W.S. 21-18-105; 21-18-202(a)(iv), (vii), (viii), (ix), (xi), Section 3(k), Section 7(i)(ii); 21-22108; and 21-18-203 through 21-18-206 to establish, monitor, report, administer and manage the fiscal procedures for the State Community College System.
In addition, the State Commission shall require and the colleges shall implement national and industry financial accounting, reporting, and facilities inventory standards and definitions.
Section 2. Applicability. This chapter will govern fiscal policies and procedures for the State Commission, all college districts, all separate entities, and all grants administered by the State Commission.
(a) 'A&I' means the Department of Administration and Information. In this chapter it refers specifically to the Budget Division of that department.
(b) 'AICPA standards' means the generally accepted auditing standards promulgated by the American Institute of Certified Public Accountants.
(c) 'Accounts receivable' means amounts owing on open account from private persons, firms, or corporations for goods and services furnished by a governmental unit (but not including amounts due from other funds of the same governmental unit).
(d) 'Accrual basis' means the basis of accounting under which revenues are recorded when earned and expenditures are recorded as soon as they result in liabilities for benefits received, notwithstanding that the receipt of the revenue or the payment of the expenditure may take place, in whole or in part, in another accounting period.
(e) 'Auxiliary enterprises' means those entities that exist to furnish goods or services to students, faculty or staff and which charge a fee directly related, although not necessarily equal, to the cost of goods or services. Colleges will strive to operate their auxiliary enterprises in a self-supporting manner.
(f) 'Biennium budget authority' is defined as the current funds educational and general expenditures (instruction, 61; research, 62; public service, 63; academic support, 64; student services, 65; institutional support, 66; operation and maintenance of plant, 67; and, scholarships, 68) authorized by the State Commission in a biennium, except those expenditures funded with revenue generated from the levy of optional mills (W.S. 21-18-205(b)) which is prohibited from budget authority and revenue received from BOCES agreements.
(g) 'Budget forms and format' means the use of forms, formats, and other reporting devices of the State Commission and A&I for submitting budget requests.
(h) 'NACUBO standards' means the generally accepted accounting standards promulgated by the National Association of College and University Business Officers and adopted by the Wyoming Community College System.
(i) 'Three percent carry forward' per W.S. 21-18-205(c)(IV) is calculated using the sum of state appropriations, institutional revenue (excluding auxiliary enterprises, 73), and local revenue. Funds remaining in other accounts not included in the previous statement shall not be counted.
(j) 'Unanticipated shortfall' means the actual receipt of less revenue than anticipated in the original budget authority revenue projections.
Section 4. Uniform Municipal Fiscal Procedures Act. The State Commission and the districts must comply with the Uniform Municipal Fiscal Procedures Act (W.S. 16-4-101 - 16-4-124). (W.S. 21-18-204)
Section 5. Uniform Accounting System. The State Commission and the districts will adhere to the NACUBO accounting standards and to any additional policies adopted by the State Commission. All accounting will use an accrual basis.
(a) Accounting and audits. Districts will follow the NACUBO Standards and the AICPA standards in accounting for their auxiliary enterprises.
(b) Approved list. The State Commission will approve a list of auxiliary enterprises for each district. The list may be reviewed by the State Commission during its budget hearing for the biennial budget requests.
(a) Capital construction. A district must obtain approval from the State Commission before initiating any capital construction project which is not necessary maintenance or repair. Furthermore, no state funds will be used for maintaining, operating, or equipping of any capital construction project which exceeds three-hundred fifty- thousand dollars ($350,000.00) without prior State Commission approval and legislative authorization. (W.S. 21-18-205(e)) (See Chapter 9 on capital construction and maintenance.)
(b) Community services programs. Districts will not fund direct costs of community services programs with state appropriations. Direct costs are directly attributable to a specific project or activity as opposed to indirect costs which include such items as depreciation or use allowances, general administration and general expenses, operation and maintenance expenses, library expenses, departmental administration expenses, and student administration and services.
(c) Continuing education programs. Districts are encouraged to fund continuing education programs with selfgenerated funds. Although state statute permits districts to request funding up to fifty percent (50%) of the cost of continuing education programs, the college districts have agreed not to do so in order to place the costs of such programs outside the funding formula.
(d) Auxiliary enterprises buildings. Auxiliary enterprises buildings will be financed through general obligation bonds, private funds, or auxiliary enterprises revenues generated from existing services (excluding unrestricted operating fund subsidies). Auxiliary enterprises buildings which are financed through revenue bonds will not receive state fund subsidies unless approved by the State Commission prior to their construction or acquisition.
(e) Non-property tax funds generated within a college district may be expended for programs outside the district with the approval of the local board of trustees.
(a) District qualification. To be eligible for a state appropriation, a district must have State Commission sanction, be accredited by a regional accrediting agency, and provide for a levy of at least four (4) mills on the property within the district for the regular support and operation of the district in the year for which the appropriation is requested. (W.S. 21-18-205(a))
(b) College districts which fail to exercise prudent management practices in the collection of accounts receivable shall be subject to a loss of state aid.
(a) Biennial budget authority for community colleges utilizing state appropriations shall be established by the Community College Commission based upon determinations made by the legislature, revenue estimates submitted by the colleges excluding revenues distributed to colleges under W.S. 21-18311(g)(i) and any revenues available under W.S. 21-18-311(g)(ii), and excluding any revenues collected under W.S. 21-18-303(b). Amendments to the budget authority shall be considered by the State Commission upon application by the college. Community colleges without the benefit of state funding may establish their initial budget authority through procedures provided under W.S. 16-4-101 through 16-4-124. (W.S. 21-18-205)
(b) Budget authority adjustment procedures. The State Commission will consider requests for restricted current funds, institutional and local revenue adjustments to biennium budget authority as defined in the Commission’s procedure, “Current Funds Budget Authority Adjustments.”
The State Commission will limit consideration of recaptured state aid redistribution and budget authority adjustments to March 31 of each year (except as authorized by the Commission) following the procedure cited above.
(c) Disclosure of budget amendments. When a college amends its adopted budget involving auxiliaries, optional mill(s) or BOCES funds, the commission staff will be apprised of such amendment within ten (10) working days after the institution has approved the budget amendment. This shall be accomplished by the college sending to the State Commission staff three (3) copies of amended WCCC forms required by the annual budget format. Each amendment will require submission of amended WCCC 01, 02, and 03 as well as the three (3) WCCC forms associated with the specific budget fund being amended.
(d) Up to three percent (3%) of that portion of the biennial budget authority of a community college, defined as 3% carried forward, may be carried forward into the next biennium. The cumulative total amount carried forward from the amount defined in Chapter 8, Section 3(i) shall never exceed three percent of the defined portion of the current biennial appropriation. (W.S. 21-18-205(c)(iv))
Section 10. Federal Funds. The State Commission will be the receiving agency for all federal funds to support Commission activities. It may receive federal funds if authorized by the governor or the legislature. (W.S. 21-18-203(a)(xi))
Section 11. Contingency Reserve. An amount which is not more than five percent (5%) of the total appropriation granted to the community colleges shall be appropriated to the State Commission as a contingency reserve, plus any revenues under W.S. 39-6-306(b)(iv) and any revenue under W.S. 21-18-311(g)(ii)(B), to be used by the State Commission upon approval of at least two-thirds (2/3rds) of Commission members to supplement as necessary a community college budget. Approval will be granted only if a college experiences:
Section 12. State Appropriations Budget Requests.
(a) Format. The individual community colleges shall submit appropriate information to generate their appropriations requests to the Community College Commission upon forms and in a format to be determined by A&I. The date for submission will be determined annually by the State Commission to coincide with the submission date for budget requests set by A&I. (W.S. 21-18-203(a))
The format shall include but is not limited to funding and expenditures, including current fiscal year expenditures, enrollment data, and projected revenue for the biennium. Fiscal year expenditures will be reported by NACUBO Program. Projected revenue to be reported includes but is not limited to all current funds revenue.
All projections are subject to final adjustment by the State Commission.
Section 13. State Commission Budget Action.
(a) Budget preparation. State Commission staff will prepare a consolidated budget request for the Commission and the system of community colleges. The system's request for state appropriations will be prepared upon receipt of each district's funding and expenditure information as defined in Chapter 8, Section 12. The State Commission shall include, but is not limited to, budget requests for programs outlined in W.S. 21-18105(a).
(b) Budget request submissions. The State Commission will submit the community college system budget request to the governor and legislature upon forms and in a format to be determined by A&I, with appropriate supplementary information provided by the State Commission. (W.S. 21-18-203(a))
The format shall incorporate funding and expenditures for:
(i) State appropriations, when necessary;
(ii) All property taxes and county revenues dedicated to general operations;
(iii) All tuition and course fees;
(iv) All approved federal funds with explanation of federal restrictions and limitations;
and
(v) Investment income and other miscellaneous deposits to the current fund. (W.S. 21-18-203(a))
(c) Hearings. The State Commission will hold at least one (1) budget hearing during which comments on the budget requests will be heard. (W.S. 21-18-203(c)) The hearing procedure may follow the Commission's hearing procedure rules (Chapter 12).
(d) Presentation. The State Commission and its staff will present the budget requests to the governor and to the legislature.
(e) State Commission reporting to districts. The executive director will report promptly to the Commission, districts and other appropriate managers on all action taken on the budget request by the governor or the legislature. At the conclusion of each legislative session, the Commission will advise governing boards of community colleges of the fiscal policies adopted by the legislature and their responsibilities to follow those policies.
Section 14. District's Annual Budget Procedures. No later than May 15 of each year, each district will prepare a tentative budget for each fund and file it with the district's board.
(a) Contents. The budget formats for community colleges shall be uniform and approved by the State Community College Commission and the director of the state department of audit. The budget shall set forth:
(i) Actual revenues and expenditures for the last completed fiscal year;
(ii) Estimated total revenues and expenditures for the current fiscal year; and
(iii) The estimated available revenues and expenditures for the ensuing budget year.
(W.S.16-4-104(a))
(b) Public hearing. Districts must conduct budget hearings as required by W.S. 16-4-109.
(c) Submission to State Commission. Each district will submit three (3) certified copies of its adopted budget to the Commission on or before July 31 of each year. (W.S. 16-4-111) The Commission will submit one (1) copy to A&I.
(a) Appropriation to State Commission. All state funding will be appropriated to the Commission, unless otherwise provided for by law.
(b) State appropriation payments. State appropriations will be paid on warrants drawn by the state auditor based upon vouchers issued and signed by the executive director or designees. (W.S. 21-18-206)
(c) District bond payment default offset. If a district entitled to any state appropriation payment has defaulted on the principal or interest of any district revenue bond purchased by the state treasurer, the state treasurer will withhold from the district payment amounts to cover the existing and anticipated default(s). The state investment board may draw warrants certifying the default upon the state treasurer. (W.S. 21-18-206)
(d) State Commission payment to districts. Distribution of state appropriations will be made by the Commission to the colleges at times and in amounts to be determined by the Commission based upon the allowance generated by the funding formula and by any other special allowances. (W.S. 21-18-205 (c)(i)) Unless otherwise specified by the Commission, the times and amounts for these payments to the districts shall be as follows:
(i) Fifty percent (50%) of the state appropriation will be distributed the first fiscal year of the biennium and the remaining fifty percent (50%) will be distributed the second fiscal year. Any additional funds appropriated during the supplemental session of the legislature will be distributed upon approval of the State Commission.
(ii) For each fiscal year, the distribution to colleges and statewide programs will be as follows:
(a) State sources. When a college receives revenue greater than the biennial budget authority established for the college, excess state funding is to be returned to the general fund (W.S. 21-18-205(c)(iii)) in the following manner:
(i) The district will return the excess state funds to the State Commission within ninety (90) days after receipt of the auditor's confirmation.
(ii) The State Commission will remit the returned district excess funds to the state treasurer within thirty (30) days of their receipt.
(b) Federal sources. If nonbudgeted federal funds are received by a district for a previously approved program for which state funds have been appropriated, an equal amount of state aid will be withheld from distribution by the State Commission. If, however, federal funds are received for programs or expansion of existing programs for which state funds had not been appropriated, the State Commission at its next meeting will increase the district's budget authority to accommodate those funds. (W.S. 21-18-205(d))
(a) Auditors selected by districts. Audits for each district which are required by W.S. 16-4-121 and the State Commission Rules must be performed by independent auditors selected by the district and approved by the Commission. Auditors must attend a pre-audit conference held by the State Commission on the first Monday in May. If auditors do not attend this conference, the State Commission reserves the right to reject the audit.
(i) Auditors selected by districts will be members in good standing of the Wyoming Society of Certified Public Accountants and be licensed in Wyoming by the State Board of Certified Public Accountants. They must also be residents of the State of Wyoming.
(ii) If an auditor is contracted for a one-year period only, the district must submit the name to the State Commission office before March 1 of each year. The Commission staff will check the qualifications and submit the request to the State Commission at the next regularly scheduled Commission meeting.
(iii) A district may contract with an auditor for more than one year. If the contract is for more than one year, the district must submit the name to the State Commission office before March 1 of each year of the contract, specifying the years of the contract. State Commission staff will check the qualifications. If the auditor continues to meet the qualifications, Commission approval will not be necessary.
(iv) Districts will inform the State Commission when termination occurs prior to the time the contract was scheduled to end.
(v) The State Commission will provide notification to each district of the approval or disapproval (with reasons for the disapproval) of the district's selected auditor.
(b) Audit scope. District audits must meet the following requirements:
(i) A financial and compliance audit which complies with recognized industry standards;
(ii) The audit requirements of any federal agencies which are necessary to comply with terms and conditions of the district's participation in a federal program;
(iii) Compliance and reporting requirements of the Department of Audit;
(iv) Compliance and reporting requirements of the State Commission; and
(v) Compliance and reporting requirements of the State Commission for full-time equivalency (W.S. 21-18-202(a)); and
(vi) Colleges will be notified of any audit requirements prior to January 1.
(c) Audit report. The independent auditor shall report to the college board and after approval of the audit, the college shall submit the report to the State Commission by December 31. Additional copies will be submitted to the Department of Audit, the county clerk, and A&I.